NOC Dividend Type Payments

Although NOC has no upcoming (meaning, Board-approved and announced) dividends, you can sell covered calls on Northrop Grumman Corporation to create 12 extra dividend type payments per year to boost its yield. Let's look at some recent prices (last updated Fri 4:16 PM ET):

Northrop Grumman Corporation (NOC)
Bid	Ask	Last	Change	Volume	P/E	Market Cap
521.70	535.00	526.79	+2.48	523K	34	77B

NOC Dividend-Like Income Using Covered Calls

With NOC at 526.79, here's a table showing how big the annual "dividend" (i.e. total annual call premium received) would need to be to attain 3%, 5%, and 10% annual yields. Also shown is the equivalent number of cents/day necessary to achieve each yield:

Annual Yield	Annual Premium	Cents/Day
3%	15.80	4.3
5%	26.34	7.2
10%	52.68	14.4

So now we need to find out of the money covered calls that pay at least the prescribed cents/day amount of time premium. That will generate income and, because they are out of the money, leave room for some upside potential on the stock. Here are some examples:

3% Yield On NOC Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Nov 1	535.00	11.10	36	30.8	0.00 (0.0%)
Oct 4	532.50	2.95	8	5.6	0.00 (0.0%)

5% Yield On NOC Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Nov 1	535.00	11.10	36	30.8	0.00 (0.0%)
Oct 4	535.00	2.25	8	28.1	0.00 (0.0%)

10% Yield On NOC Using Covered Calls
Expiration	Strike	Call Bid	Days	Cents/Day	Upside Potential
Nov 1	535.00	11.10	36	30.8	0.00 (0.0%)
Oct 4	535.00	2.25	8	28.1	0.00 (0.0%)

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Top 10 Open Interest For Oct 18 Expiration				Top 5 High Yield
1.	NVDA dividend	6.	QQQ dividend	1.	ASTS dividend
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4.	SPY dividend	9.	TLT dividend	4.	CLSK dividend
5.	EEM dividend	10.	GLD dividend	5.	CPRI dividend

Want more examples? NOBL Dividend | NOG Dividend